I have bought more recently at 30cents (as I posted) and I remain happy to have done so...but I also sold a few at 31.5cents. I remain a net buyer at around these levels because I am a fundamental investor. This stock has immense potential as well as its price being fully underwritten by existing cash flows.
The company has a sharebuy-back in place which they are exercising at these prices as well, so in an EPS sense my holding is getting better as well.
Yes, the price of oil (POO) is much weaker and I will make a comment about that too...what I believe is happening is that there has been an exit from some of the commodities plays by hedge funds and with the market overburdened with sellers the price has probably overshot to the downside. I have for years been an oil bull and the trend in the POO has borne that out...nothing has changed in the world that is going to magically change the fact that oil will continue to be a scarce commodity. Remember these are long life fields!!!
In the meantime the AUD/USD exchange rate has improved compensating aussie investors a bit for commodity falls (it has also probably overshot).
We are on the verge of drilling some wells to APPRAISE Paris Valley...this activity has the potential to add multiples to existing share value. So I remain bemused by the share price, but in the long run there will be rewards in my opinion.
regards DF
SAE Price at posting:
0.0¢ Sentiment: LT Buy Disclosure: Held
